South African 5500 NAR thermal Coal is being traded at USD 60-62/MT, CIF East and West Coast of India.
Imported South African RB2 Coal offers declined about USD 3-4/MT compared to the price of Mar’15, which was offering in the range of USD 63-65/MT CIF at Krishnapatnam port. Prices have declined influenced by poor global demand and depreciating South African currency which is exerting pressure on exporters to reduce their offer prices.
Current offers for South African RB2 coal are assessed at USD 60-62/MT CIF India for Jun’15 deliveries based on quantity and port. On the other hand, buyers are interested to purchase after negotiations.
Agarwal Coal, one of the largest Coal importers/traders mentioned, “We are currently offering ready to sale material of South African RB2 (5500 NAR) coal at INR 4,800-4,850/MT at Gangavaram port.”
Meanwhile same grade, stock and sale material is being offered by the West Coast based traders at the range of INR 4,800-5,000/MT at Mangalore port, the price includes all duties and port charges.
Waiting Period at Ports
Vizag: About 2-3 days
Dhamra: with in 24 hrs
Total Import from South Africa in FY15
South Africa, one of the largest exporters of Coal to India has supplied about 28.9 MnT of Coal in FY15. India’s Coal import for South African grade has risen by around 50% in FY15. India has imported about 26.6 MnT of Non-coking coal in the recently ended fiscal, which was about 17.5 MnT in FY14. Continuous declining global Coal prices coupled with Indian domestic issues are influencing buyers to increase their imports.
South African Non-coking Vessel At Indian Ports
As per SteelMint analysis, about 1 MnT of South African Coal is expected to arrive at Indian ports in coming two weeks. JSW Steel is expecting two capsize vessel at Krishnapatnam port with total quantity about 0.33 MnT from South Africa, vessel is expected to arrive at Krishnapatnam port till 4 May’15. In the second half of Apr’15, India has imported about 1.3 MnT Coal from South Africa in different ports.
| South African Non-coking Coal Current Expected Vessel | |||||
| Port | Vessel name | Quantity | Date | Origin | Receiver |
| Dhamra | Vanshi | 82,000 | 11-May-15 | South Africa | Adani Enterprise |
| Krishnapatnam | Star Angie | 163,800 | 1-May-15 | South Africa | Kamachi |
| Krishnapatnam | Bulk Hong Kong | 168500 | 1-May-15 | South Africa | Jsw Steel |
| Krishnapatnam | Blue Lhoste | 166,200 | 4-May-15 | South Africa | Jsw Steel |
| Gangavaram | Mare Taveller | 54,500 | 2-May-15 | South Africa | Bengal Energy |
| Mangalore | Hudson Trader II | 11,000 | 30-Apr-15 | South Africa | Tata Steel |
| Kandla | Pretty | 163,200 | 29-Apr-15 | South Africa | Swiss Singapore |
| Kandla | Kiran Istanbul | 52,700 | 7-May-15 | South Africa | Shree Cement |
Assessment Done on 1 May’15
Quantity in MnT
Source: SteelMInt Research
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